Dec 11 2013
IMX Resources is pleased to announce that it has completed sales contracts for all the iron ore it expects to produce next year at its Cairn Hill Mine in South Australia.
The terms of the contracts reflect the strong demand for Cairn Hill ore, with the price discounts to the benchmark 62 per cent Fe Index and quotation periods for pricing both in line with this year's sales agreements.
IMX sold 1.76 million tonnes of ore from its Cairn Hill Mine in the year to June 30, 2013, with an average cargo weight of approximately 76,000 wet metric tonnes. A similar outcome is expected for calendar year 2014.
IMX Acting Managing Director John Nitschke said the 2014 contracts were on attractive terms, providing IMX with strong and reliable cashflow.
"The buoyant iron ore market and strong demand for Cairn Hill ore from our existing customers ensures that we will enter the new year with financial strength and certainty," Mr Nitschke said. "We would like to thank our customers for their continued support.
"The revenue generated by the Cairn Hill Mine differentiates IMX from many of its peers because it enables exploration and development activities to be funded from operational cashflow.
"We are assessing the potential of a Phase 2 development to extend the life of Cairn Hill and a decision on this is expected by the end of the March Quarter of 2014."
JOHN NITSCHKE
Acting Managing Director
Source: http://www.imxresources.com.au